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EXHIBIT G: WATER INFORMATION <br />1) This mining operation is not expected to directly affect any known surface or groundwater <br />systems. We will conduct our mining operation above and outside the high water mark we have <br />identified for Upper Big Sandy Creek. The high water mark was established based on the <br />experience of the land owner, John Craig who has lived at the site for over 50 years. <br />2) In the event any groundwater is encountered in the mining operation, the exposed water area <br />will be promptly covered up after the aggregate is removed. <br />3) The project is estimated to use 4 to 8 thousand gallons of water per day while the material is <br />being hauled from the site. This water will be used for dust control at the mine site and the haul <br />roads to and from the site. The total estimated quantity of material located in the mine site is in <br />excess of 1 million ton, if removed at the rate of 4,000 ton per day would 250 days to remove <br />resulting in total water use of 1 to 2 million gallons possible for dust control. There are no other <br />projected water needs for the project that would be used in the development, mining, or <br />reclamation phases. <br />4) We have contacted and plan to purchase any water necessary for dust control from the Town of <br />Limon Colorado. <br />5) After discussion of the NPDES permit requirements with Kathleen Rosow of the Colorado <br />Department of Health, Water Quality Control Division, we are taking the position that we are <br />not required to obtain a discharge permit due to the fact we are not discharging stormwater <br />from the mined area. <br />